Alubaf registers $30m net profit

Manama, February 14, 2013

Bahrain-based Alubaf Arab International Bank has recorded a net profit of $30 million in 2012, signifying a growth rate of 15 per cent over lthe previous year.

During the fourth quarter, the bank achieved a net profit of $5.1 million after due regulatory general provision, reported the Gulf Daily News, our sister publication.

In 2012, the bank made significant progress and achieved a good financial performance despite challenging times. Interest income was the main driver in 2012, increasing by 28 per cent.

The bank's operating income stood at $39 million reflecting strong operational efficiency. The cost to income ratio saw controlled increase and stood at 19 per cent. Return on average equity was sustained at 11 per cent.

The board is recommending a dividend of 8 per cent of paid up capital for 2012, representing $20 million which is subject to regulatory and shareholder's approval.

Chief executive Hasan Abulhasan said the bank is well positioned with a strong capital adequacy ratio and liquidity ratio at 50 per cent and 83 per cent respectively and he is optimistic that 2013 will be another promising year for the bank.

Alubaf will be re-locating its headquarters with effect from tomorrow to its own premises Alubaf Tower in Seef District.-TradeArabia News Service